European imports of liquefied natural gas (LNG) grew 63% in 2022 to compensate for the interruption of supply by Russian gas pipelines, according to a report by the International Energy Agency (AIE) published on Tuesday.
Strong demand from Europe boosted prices, leading the global LNG market to double in value by 2022, to $450 billion, despite volume only increasing 6%. By 2023, the agency forecasts the world market to grow by 4.3%.
“Europe was the first driver of the increase in LNG demand, bypassing Russian pipelines. LNG deliveries in Europe increased by 63% last year. stressed the IEA.
Imported LNG volumes in Europe increased by 66 billion m3, according to the IEA. Two thirds of this additional flow (43,000 million m3) came from the United States.
Other suppliers include Qatar and Egypt (5 billion m3 each), Norway (3 billion), Angola (2 billion) and Trinidad and Tobago (2 billion m3). In addition, 2,000 million m3 were supplied by Russia.
The war in Ukraine also increased the need for LNG terminals and tankers.
Tanker orders increased 130% compared to 2021, reaching a record of 165 in 2022, according to Refinitiv data cited by the IEA.
In total, world gas consumption (LNG and by pipeline) nevertheless contracted by 1.6% in 2022, to 4.04 trillion m3. The IEA expects it to stagnate this year, pointing out the uncertainties surrounding that market and the Chinese economy.
Source: AFP
Source: Gestion
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